Brexit: How Can A Two-Tier Europe Be Achieved. An EEAplus?

European Country Groupings - click to enlarge

This is the second half of this article, which provides the background. Here's the basis, perhaps, for a Brexit solution that would suit the majority of British voters.  Certainly worth considering and debating.

Focus for Brexit now is on the EEA (European Economic Area).  This is what's really the Single Market (formerly Common Market) consisting of:

• All EU countries 
• Plus three others who are members of EFTA (European Free Trade Association), in particular Norway.  
• Not Switzerland, which has a separate arrangement
• Not Turkey, which is part of a Customs Union with the EU.

Here's further details about the EEA and EFTA, including uncertainty about the UK's legal status in respect of the EEA on leaving the EU.

The "Norway option" would involve continuing our current trading relationship with Europe, continuing free movement or people, and continuing to make significant budgetary contributions to the EU.  But with no say in the rules under which trade operates. Even the Norwegians have said it would not be suitable for the UK.

But something based on the EEA might.  Let's call it EEAplus.

Let's imagine that say 35 countries in Europe held a conference with an open mind to discuss the future of the "European Project":

• 28 of them are in the European Union
• 19 of these use the euro and so are in the "Eurozone" (Austria, Belgium, Cyprus, Estonia, Finland, France, Germany, Greece, Ireland, Italy, Latvia, Lithuania, Luxembourg, Malta, the Netherlands, Portugal, Slovakia, Slovenia, and Spain)
• The other 9 use their own currency, including the UK and Sweden
• A few others have a close trading relationship with the EU, and use their own currency, including Norway and Switzerland
• Turkey is in a Customs Union with the EU.  There are a lot of voices against them joining the EU
• There is a Schengen area where there are no border controls on movement  of people.  This includes Norway, but excludes both UK and Ireland.
• There is a land border between Ireland (Eire) and the UK's Northern Ireland

How about a two-tier Europe?:

1. Countries in the Eurozone, committed to greater political union
2. Countries in a group based on EFTA outside the Eurozone, like the UK, who have their own currency and only want to have a strong free trading relationship with the Eurozone

This is a serious idea.  In recent months there have been a number of articles on this idea in the Financial Times, no less.  Here's one. 

A two-tier Europe would mean:

• Eurozone and non-Eurozone members having an equal say in how the combined trading bloc runs. Better than Norway and other EFTAS members today.
• But non-Eurozone countries would not appoint MEPs.  Very few people in UK take MEP elections seriously anyway.
• Both groups would contribute to central European funds,  UK;s contribution may reduce
• Freedom of movement of people across both zones.  Immigration problems in each country would need to be dealt with by other means, although options like emergency brakes could be allowed
• The current Schengen arrangements could continue, both for countries in and countries out
• A specific solution to the Irish border would still be needed - some ideas here
• All non-Eurozone countries would be in on the same terms.  The Brexit negotiations would set those terms
• The ECJ would have no jurisdiction over non-Eurozone countries, but there would need to be some legal hierarchy and a top Court
• Countries would have the option of being in the Eurozone or not, if they qualify. 
• Countries like Turkey could possibly join the non-Euro group without joining the full EU (though as noted above, there are a lot of voices against them joining in)
• Leaving the Euro to join the non-Euro group would be painful but possible. That could be right for Greece for example, possibly others.
• Countries like Sweden that still have their own currency could follow the UK out of the EU and into the non-Eurozone group
• That would still leave at least a core of 15 Eurozone countries that can steam ahead into a United States of Europe

Those officials within the EU machine that are devoted to a United States of Europe may scream about this.  But that project can still steam ahead, and two tiers may prove the USE's salvation.

We'd effectively have an "EEAplus".  Indeed the EEA's top Court would already be in place.

Back in the UK there is now a cross-party APPG for Brexit, consisting of MPs looking to keep the UK in the Single Market.

The EU negotiators are complaining the UK negotiators don't know what the the UK wants.  That's partly because Leavers want different things, and the government has not agreed on a single vision.

If only that vision was for a two-tier Europe, with the UK in a EEAplus.  That I think would satisfy the vast majority of people in the UK.  A few Brexiters unhappy, but you can't please everyone!

Perhaps the APPG can take the lead.  Politically how is the question - here's an answer!